Transaction Description:
PURPOSE: THE HOUSING CHOICE VOUCHER (HCV) PROGRAM IS THE FEDERAL GOVERNMENT'S MAJOR PROGRAM FOR ASSISTING VERY LOW-INCOME FAMILIES, THE ELDERLY, AND THE DISABLED TO AFFORD DECENT, SAFE, AND SANITARY HOUSING IN THE PRIVATE MARKET. THE HCV PROGRAM IS HUD’S LARGEST RENTAL ASSISTANCE PROGRAM. FUNDING IS PROVIDED THROUGH THE CONSOLIDATED APPROPRIATIONS ACT, 2022 (P.L. 117-103), ENACTED ON MARCH 15, 2022, WHICH THE U.S. DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT (HUD) ALLOCATES TO PUBLIC HOUSING AGENCIES (PHAS). THE PURPOSE OF THIS PROGRAM IS TO SERVE THE MOST ECONOMICALLY VULNERABLE FAMILIES IN THE COUNTRY, INCLUDING FAMILIES WITH DISABILITIES, ELDERLY FAMILIES, FORMERLY HOMELESS VETERANS, AND FAMILIES WITH CHILDREN, THROUGH FEDERAL ASSISTANCE VOUCHER PAYMENTS IN THE PROVISION OF MEETING THEIR RENTAL HOUSING NEEDS. HUD REGULATIONS MERGED THE FORMER SECTION 8 RENTAL VOUCHER PROGRAM (14.855) WITH THE FORMER SECTION 8 CERTIFICATE PROGRAM (14.857). SECTION 502 OF THE PUBLIC HOUSING REFORM ACT STATES THAT A PURPOSE OF THE LEGISLATION IS "CONSOLIDATING THE VOUCHER AND CERTIFICATE PROGRAMS FOR RENTAL ASSISTANCE UNDER SECTION 8 OF THE UNITED STATES HOUSING ACT OF 1937 (THE "USHA") INTO A SINGLE MARKET-DRIVEN PROGRAM THAT WILL ASSIST IN MAKING TENANT-BASED RENTAL ASSISTANCE MORE SUCCESSFUL AT HELPING LOW-INCOME FAMILIES OBTAIN AFFORDABLE HOUSING AND WILL INCREASE HOUSING CHOICE FOR LOW-INCOME FAMILIES.” THE HCV PROGRAM IS ADMINISTERED BY LOCAL PHAS AUTHORIZED UNDER STATE LAW TO OPERATE HOUSING PROGRAMS WITHIN AN AREA OR JURISDICTION. THE PHAS RECEIVE FEDERAL FUNDS FROM HUD TO ADMINISTER THE VOUCHER PROGRAM. THE 2023 APPROPRIATIONS FOR THE HCV PROGRAM IS COMPRISED OF THE FOLLOWING RENEWAL LINE ITEMS AND NEW INITIATIVES:
• HOUSING ASSISTANCE PAYMENTS (HAP) RENEWAL,
• TENANT PROTECTION VOUCHERS,
• ADMINISTRATIVE FEES,
• TRIBAL HUD VETERANS AFFAIRS SUPPORTIVE HOUSING (HUD-VASH),
• MAINSTREAM VOUCHERS,
• VETERANS AFFAIRS SUPPORTIVE HOUSING,
• FAMILY UNIFICATION PROGRAM MOBILITY-RELATED SERVICES, AND
• NEW HCV INCREMENTAL VOUCHERS.
CURRENT DATA FOR HCV PHAS IS UPDATED EVERY 1-2 MONTHS AND IS AVAILABLE ON THE HCV DATA DASHBOARD: HTTPS://WWW.HUD.GOV/PROGRAM_OFFICES/PUBLIC_INDIAN_HOUSING/PROGRAMS/HCV/DASHBOARD.; ACTIVITIES TO BE PERFORMED: THE PHA ACCEPTS A FAMILY’S APPLICATION FOR RENTAL ASSISTANCE, SELECTS THE APPLICANT FAMILY FOR ADMISSION, AND ISSUES THE SELECTED FAMILY A VOUCHER CONFIRMING THE FAMILY’S ELIGIBILITY FOR ASSISTANCE. THE FAMILY MUST THEN FIND AND LEASE A DWELLING UNIT SUITABLE TO THE FAMILY’S NEEDS AND DESIRES IN THE PRIVATE RENTAL MARKET. THE PHAS SIGN HOUSING ASSISTANT PAYMENT CONTRACTS WITH THE LANDLORDS, AND HOUSING SUBSIDY IS PAID TO THE LANDLORD DIRECTLY BY THE PHA ON BEHALF OF THE PARTICIPATING FAMILY. THE FAMILY THEN PAYS THE DIFFERENCE BETWEEN THE ACTUAL RENT CHARGED BY THE LANDLORD AND THE AMOUNT SUBSIDIZED BY THE PROGRAM. UNDER CERTAIN CIRCUMSTANCES, IF AUTHORIZED BY THE PHA, A FAMILY MAY USE ITS VOUCHER TO PURCHASE A MODEST HOME.
MEASURABLE AND QUANTIFIABLE OUTPUTS AND DELIVERABLES FROM ACTIVITIES BEING IMPLEMENTED INCLUDE THE FOLLOWING:
A. THE HOUSING ASSISTANCE PAYMENTS BUDGET AUTHORITY, WHICH WAS AWARDED AT 100% PRORATION, WILL SECURE UNINTERRUPTED HOUSING ASSISTANCE TO OVER 2.2 MILLION HOUSEHOLDS, AND WILL SUPPORT ADDITIONAL LEASING THROUGH THE END OF CY 2023 CLOSER TO 2.3 MILLION HOUSEHOLDS.
B. THE TENANT PROTECTION BUDGET AUTHORITY WILL ENSURE CONTINUITY OF ASSISTANCE FOR HOUSEHOLDS AFFECTED BY CONVERSIONS ACTIONS FROM THE PUBLIC HOUSING, MODERATE REHABILITATION, AND MULTIFAMILY HOUSING PROGRAMS.
C. ADMINISTRATIVE FEES WILL ENSURE OVER 2,200 HOUSING AGENCIES MAINTAINING COMPLIANT AND SOUND PROGRAM AND FINANCIAL OPERATIONS AND WILL SUPPORT ADDITIONAL ASSISTANCE TO LANDLORDS AND PARTICIPANTS IN EXPEDITING LEASING AND ACCESS TO AFFORDABLE AND DECENT HOUSING.
D. FUNDS AWARDED FOR TRIBAL HUD VASH WILL ENSURE RENEWAL FUNDING FOR THOUSANDS HOMELESS VETERANS IN INDIAN COUNTRY AND WILL SUPPORT THE ISSUANCE OF HUNDREDS OF NEW GRANT AWARDS IN CY 2023.
E. MAINSTREAM VOUCHERS FUNDING WILL ENSURE RENEWAL FUNDING FOR OVER 50,000 NON-ELDERLY AND DISABLE FAMILIES THAT WERE ONBOARD AT THE BEGINNING OF CY 2023. THESE FUNDS WILL SUPPORT SOUND OPERATIONS FOR THE HOUSING AGENCIES ADMINISTERING THESE VOUCHERS IN CY 2023.
F. ADDITIONAL HUD VASH FUNDING WILL SUPPORT APPROXIMATELY 4,000 HOMELESS VETERANS IN NEED OF HOUSING AND SUPPORTIVE SERVICES.
G. FUNDING APPROPRIATED FOR FUP VOUCHERS WILL ASSIST PROVIDE HOUSING TO FAMILIES THAT WERE SEPARATED FOR EXTENUATING CIRCUMSTANCES, AND PROVIDE HOUSING TO YOUTH COMING OUT OF FOSTER CARE THAT COULD BE AT RISK OF HOMELESSNESS.
H. FINALLY, HUD HAS AWARDED OVER 4,100 NEW INCREMENTAL HOUSING CHOICE VOUCHERS FOR FAMILIES IN AREAS WHERE WAITING LISTS HAVE BEEN CLOSED FROM MANY YEARS, BUT MOSTLY WILL ASSIST PHAS IN ADDRESSING SEVERE COST BURDEN, OVERCROWDING, FAMILIES LIVING IN SUBSTANDARD HOUSING, AND VERY LOW-INCOME RENTERS, HOMELESSNESS.; EXPECTED OUTCOMES: THE HCV PROGRAM SEEKS TO PROVIDE GREATER ACCESS TO HOUSING CHOICE AND BETTER HOUSING OPPORTUNITIES FOR VERY LOW- AND EXTREMELY LOW-INCOME FAMILIES; REDUCE THE NUMBER OF CHRONICALLY HOMELESS INDIVIDUALS, FAMILIES, AND VETERANS; AND REVERSE THE EFFECTS OF RESIDENTIAL SEGREGATION IN THE PURSUIT OF RACIAL EQUITY. HCV PROGRAM RECEIVES ANNUAL APPROPRIATIONS FOR CONTRACT RENEWALS TO SECURE HOUSING ASSISTANCE FOR APPROXIMATELY 2.2 MILLION HOUSEHOLDS. HCV ALSO RECEIVED ADDITIONAL FUNDING FOR NEW INCREMENTAL VOUCHERS. APPROXIMATELY 4,100 NEW HCV VOUCHERS, WORTH $50M, WERE AWARDED TO A SELECTED GROUP OF PARTICIPATING AGENCIES IN CY 2023.; INTENDED BENEFICIARIES: THE HCV PROGRAM IS INTENDED TO PROVIDE GREATER ACCESS TO HOUSING CHOICE AND BETTER HOUSING OPPORTUNITIES TO VERY LOW- AND EXTREMELY LOW-INCOME FAMILIES, INCLUDING FAMILIES WITH DISABILITIES, ELDERLY FAMILIES, FORMERLY HOMELESS VETERANS, AND FAMILIES WITH CHILDREN, THE ELDERLY, AND THE DISABLED. ELIGIBILITY FOR A HOUSING VOUCHER IS DETERMINED BY THE PHA BASED ON THE TOTAL ANNUAL GROSS INCOME AND FAMILY SIZE AND IS LIMITED TO US CITIZENS AND SPECIFIED CATEGORIES OF NON-CITIZENS WHO HAVE ELIGIBLE IMMIGRATION STATUS. IN GENERAL, THE FAMILY'S INCOME MAY NOT EXCEED 50% OF THE MEDIAN INCOME FOR THE COUNTY OR METROPOLITAN AREA IN WHICH THE FAMILY CHOOSES TO LIVE. BY LAW, A PHA MUST PROVIDE 75 PERCENT OF ITS VOUCHER TO APPLICANTS WHOSE INCOMES DO NOT EXCEED 30 PERCENT OF THE AREA MEDIAN INCOME. MEDIAN INCOME LEVELS ARE PUBLISHED BY HUD AND VARY BY LOCATION. THE PHA SERVING YOUR COMMUNITY CAN PROVIDE YOU WITH THE INCOME LIMITS FOR YOUR AREA AND FAMILY SIZE.; SUBRECIPIENT ACTIVITIES: THE RECIPIENT DOES NOT INTEND TO SUBAWARD FUNDS.
